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$15 and change is the 10 year low, about $20 was the five year low.
This deal has turned into a three ring circus, sold all my today for some nice coin. GLTA
Linquist is still selling: http://www.nasdaq.com/symbol/pcs/insider-trades#.UVOlw65liBU
I am selling my PCS shares in my trust due to dividend payment tax problems. Still have some shares in my IRA account, which will not be effected by dividend payment, but I might sell this as well.
Honestly thought T-Mobile canning contracts would have caused more price pop in PCS; maybe buy the rumor, sell the news?
http://www.bizjournals.com/dallas/blog/2013/03/t-mobile-rolls-the-dice-by-ending.html?ana=yfcpc
DISH already made $11 offer for PCS, which did not work out.
Re: PCS price- who knows?
Moorman at S&P has a $12 one year target price for PCS.
S&P proprietary stock model from S&P PCS Stock Report has $13 "fair value" for PCS as of this Monday, March 4th, (it is updated weekly).
$10.52 was previous three month high, which was bested today.
Next resistance levels at $10.77 and $11 on upside; and
$10.35; $9.90 and $9.70 on downside.
Yes, well he still holds about 4.2M shares of PCS.
We got volume today, >10M. Short covering? on leaked good PCS earnings on 2/26? I don't know.
Linquist sold over one million shares in Dec '11. Still holds over 4.2M shares. Go to nasdaq.com "Insider holding."
Per article: @ $13 bid for PCS would equal about 45% of T-mobile stock vrs. the actual 24% in the T-mobile deal! Wow, so this analyst is saying the T-mobile deal is worth about what PCS is trading at this week, about $10.50. If his is right then all the other analysts quoted above are wrong. http://www.bloomberg.com/news/2012-11-30/metropcs-climbs-after-analyst-says-sprint-may-bid-for-company.html?cmpid=yhoo
Paulson purchased 23.8 million shares of MetroPCS Communications for $9 per share on average, giving him 6.55% of the company.
Read more: http://community.nasdaq.com/News/2012-11/john-paulson-keeps-gold-buys-metropcs-nexen-shire-amerigroup-robbins-myers-in-third.aspx?storyid=190391#ixzz2CQimICnP
Well Paulson bought a pretty good chunk of PCS in Q3-12.
PCS Q3-2012 Institutional holders: http://www.nasdaq.com/symbol/pcs/institutional-holdings
The question is who would make a counter bid for PCS? The marginal terms for PCS in the T-Mobile deal suggest that Linquist and company did not have any other options available.
@ $9.83; back to single digits, amazing!
S&P lowers target to $12, from $13. Moorman at S&P lowered this target price for PCS from $13 to $12 on 11/2/12.
earnings were $0.38 in Q3-12, excluding a one time settlement, as per previous posting.
PCS Q3-12 earning are 52 cents per share or $192.7 million.
softbank: PCS bid?: http://seekingalpha.com/currents/all
PCS <$11. Institutional investors with the most shares of PCS will toll the bell on the yea or nay re: T-Mobile deal. "Mr. Market" does not like the deal, so who knows how this will play out?
IMO PCS just did not have the spectrum to really deploy G4-LTE. Just my hunch, based on the fact that right after the T-Mobile deal was announced Linquist scraped VoLTE, which was suppose to free up spectrum for PCS. Obviously VoLTE was not working out as planned for PCS.
In my mind Linquist had to make a deal with somebody because PCS just did not have enough spectrum. I have no evidence for this, just my humble opinion, for what its worth.
Looks like a good move at this point.
@ $11.64 on 63M/shrs traded today. I guess somebody thought Softbank was going to buy PCS, but they are making a bid for Sprint and maybe Clearwire. Terrible price action for PCS.
PCS @ $12.04; Sprint not making bid for PCS, per various reports today.
PCS scraping VoLTE? http://www.streetinsider.com/Analyst+Comments/Acme+Packet+(APKT)+Dips+as+MetroPCS+(PCS)+to+Scrap+VoLTE+Plans/7781131.html
Per this article PCS is scraping it's VoLTE plans. Could this be the catalyst that forced Linquist to broker a deal with T-Mobile on less than favorable terms?
Article on Sprint, but I think a lot of the ideas here can be put good use in evaluating the PCS/T-Mobile "merger."
http://seekingalpha.com/article/884621-an-update-on-sprint
About $13.40, "fair value." James Moorman at S & P raised his PCS target price to $13 from $11 on 10/5/12; still has a "Hold" rating; values deal between $11.50 to $13.50 a share. He also said he thinks Sprint will not offer a competing bid for PCS.
William Power with R.W. Baird has a $12.60 to $16 value per share for PCS.
Craig Moffett at Sanford Bernstein has "an optimistic view" of $18, with the $4 per share in cash.
Walt Piecyk with BTIG LLC has a $15 to $16 value.
Taking out the high and low estimates provides a $13.40 value for PCS.
($12.50 + $14.30= $26.80; div by 2= $13.40; (note these numbers are the averages of the estimates)
$12.65 Friday close after T-Mobile "merger" deal announcement this week.
So "Mr. Market" has spoken (for now) on the value of PCS in the T-Mobile "merger" deal.
This is just about in the middle of S & P's (Moorman) range of value of PCS between $11.50 and $13.50 in the deal.
S & P changes P.T. to $13 from $14 on 10/5/12. Moorman at S & P says the deal values PCS between $11.50 to $13.50 a share. He also said he thinks Sprint will not offer a competing bid for PCS.
Value of $11.28/shr: Per a Reuters article on 10//4/12, that is what Pacific Crest analyst Michael Bowen values the T-Mobile offer for PCS. He also stated that if Sprint makes on offer for PCS they "could pay between $12.50 and $15 per share by offering its own stock as payment."
"Why MetroPCS is Truly in Play:" http://dealbook.nytimes.com/2012/10/04/why-metropcs-is-truly-in-play/?partner=yahoofinance&pagewanted=print
S&P ups target to $14. Moorman at S&P today raised PCS' target price from $11 to $14.
"DT's exit strategy": http://seekingalpha.com/article/901981-how-dish-could-win-the-pcs-t-mobile-prize?source=yahoo
read the comments at the end of the article. The author states a PCS T-Mobile merger makes no "strategic sense."
Well, time will tell. I just have a hard time thinking that Linquist would throw PCS under the bus. PCS was his baby and he is holding a lot of shares.
At least most of the analyst's (what ever their worth really is), have a range for the value of PCS from about $12.50 to $16 (the $18 was with the $4.06 per share in cash- so actually $14).
Yesterday we could have sold at about $14, so that is what I am looking for now. Best to you and GL.
from PCS website: October 3, 2012
To our Valued MetroPCS Customers:
Today marks an important milestone in MetroPCS history and an exciting, positive step for our company. This morning we announced that MetroPCS has entered into a definitive agreement to combine our business with T-Mobile USA. The combined company will be called T-Mobile, and will continue to operate MetroPCS and T-Mobile as separate customer units.
This combination will create the leading value carrier in the U.S. marketplace that we believe will deliver a better experience for our customers.
This can be accomplished through a wider selection of affordable products and mobile services, while leveraging the latest 4G mobile technologies, deeper network coverage and a clear-cut technology path to one common 4G LTE network. On our website you will find a copy of the press release we issued, along with a list of frequently asked questions.
What This Means for MetroPCS and Our Customers
T-Mobile, a subsidiary of Deutsche Telekom, is a leading telecommunications company that offers a range of wireless services to consumer, business and government customers.
Through this combination, we expect to improve mobile experiences by:
Creating a faster, broader, higher capacity 4G network;
Offering wider handset choice and lower costs by building on our combined portfolio of cutting-edge products and mobile services; and
Enhancing our national footprint and offering international roaming options.
Deutsche Telekom and T-Mobile have announced publicly that they intend to grow the MetroPCS brand, both through extension into new geographic areas and through the introduction of a broader product portfolio into our existing network. Importantly, MetroPCS and T-Mobile have the same network strategies and LTE networks in the same spectrum bands, which we believe will accelerate the deployment of advanced services to our customers.
In short, this transaction is expected to offer you a wider selection of affordable handset products and services, and broader and deeper network coverage – in even more cities!
What Happens Next
We believe this combination will best position MetroPCS for long-term success, supported by the best talent in the industry. However, until the transaction is complete, MetroPCS and T-Mobile will be, and continue to operate as, independent companies.
Our commitment to you is unwavering, and we will continue to be the nation's leading provider of no annual contract, unlimited, flat-rate wireless communications services. Rest assured, we will continue to work hard to exceed your expectations.
We encourage you to read the list of frequently asked questions (FAQs) posted on our website. Of course, if you have further questions, please feel free to visit your local authorized MetroPCS dealer.
We appreciate your business and thank you for your continued support of MetroPCS!
Sincerely,
Roger Linquist
CEO and Chairman, MetroPCS
Additional Information and Where to Find It
This letter relates to a proposed transaction between MetroPCS Communications, Inc. ("MetroPCS") and Deutsche Telekom AG ("Deutsche Telekom") that will become the subject of a proxy statement to be filed by MetroPCS with the Securities and Exchange Commission (the "SEC"). This letter is not a substitute for the proxy statement or any other document that MetroPCS may file with the SEC or send to its stockholders in connection with the proposed transaction. Investors and security holders are urged to read the proxy statement and all other relevant documents filed with the SEC or sent to stockholders as they become available because they will contain important information about the proposed transaction. All documents, when filed, will be available free of charge at the SEC's website (www.sec.gov). You may also obtain these documents by contacting MetroPCS' Investor Relations department at 214-570-4641, or via e-mail at investor_relations@metropcs.com. This communication does not constitute a solicitation of any vote or approval.
Craig Moffett at Sanford Bernstein & Co. said "(A)n optimistic view would value MetroPCS shares at about $18 in the transaction, including the cash."
"Walt Piecyk, an analyst with BTIG LLC in New York, said the merger values MetroPCS at $15 to 16 ... ."
Both from Bloomberg: "Banks May Split $50 Million Advising on T-Mobile-MetroPCS Merger."
http://www.bloomberg.com/news/print/2012-10-03/banks-may-split-50-million-from-t-mobile-metropcs-merger-1-.html
Re: the $4.7B debt, yes, but they have $2.35B in cash. PCS management went out and got the cash, like they were going to use it for something, e.g. spectrum acquisitions, they didn't need that much cash just sitting around ... and now crazy "merger."
I can't figure it out, unless its something like Linquist is sick or something and had to get out fast.